Speeding Up the Establishment of the Korea-ASEAN Financial Cooperation Center... To Be Set Up Within the ASEAN Representative Office by the First Half of Next Year

Enforcement of Amendment Decree Establishes Legal Foundation for Establishment... Focus on Supporting Korean Financial Institutions and Entrepreneurs Entering ASEAN Markets

Ministry of Foreign Affairs Building

[Asia Economy Reporter Lim Cheol-young] The Korea-ASEAN Financial Cooperation Center, which has been promoted to support the strengthening of financial cooperation between Korea and ASEAN, is scheduled to be established within the Korea Mission to ASEAN located in Jakarta in the first half of next year, the Ministry of Foreign Affairs announced on the 15th.

In particular, the partial amendment ordinance of the Ministry of Foreign Affairs and its affiliated institutions' organization, which takes effect from today, includes the legal basis for the establishment of the center, further strengthening the preparation work for its establishment. The amendment ordinance stipulates the installation of the Financial Cooperation Center at the Korea Mission to ASEAN, with one resident officer and one overseas diplomatic mission staff member assigned to work there. In the future, personnel from related agencies will also be dispatched to the center.

Recently, as Korean financial institutions and companies have increased their entry into ASEAN, the need for government-level solutions has been raised regarding local financial regulations and other entry barriers, as well as difficulties in local financing for companies entering the market.

Accordingly, the government has reviewed and concretized plans to establish the Korea-ASEAN Financial Cooperation Center, reflecting the increased demand for financial cooperation between Korea and ASEAN and the requests of Korean businesspeople wishing to support their entry into ASEAN. At the Korea-ASEAN Special Summit in November 2019, Korean and ASEAN leaders agreed on the establishment of the Financial Cooperation Center, securing momentum for its promotion.

The Korea-ASEAN Financial Cooperation Center aims to realize a Korea-ASEAN win-win prosperity community under the New Southern Policy, focusing on supporting the entry of Korean financial institutions and businesspeople into ASEAN, while actively promoting policy financial support for Korean companies and expanding participation in ASEAN infrastructure-related projects.

An official from the Ministry of Foreign Affairs explained, "Due to the restrictions on local business trips caused by the novel coronavirus disease (COVID-19), it is expected that support such as providing information needed by our businesspeople through database construction will be possible," adding, "The Korea-ASEAN Financial Cooperation Center will also actively respond to the demands for building financial infrastructure in ASEAN member countries and seek cooperative projects, thus continuously contributing to the implementation of the New Southern Policy Plus as a platform for deepening financial cooperation with ASEAN."